NEWS DETAIL
Maipark boosts capital to IDR150 billion this year
11 January 2012
PT Asuransi Maipark Indonesia will boost its performance to add up its equity by IDR10 billion to meet capital requirement of IDR150 billion at end of 2012.The addition of capital is in line with the plan of refocusing the core business to reinsurance, said Maipark President Director Frans Sahusilawane.
At end of December, Maipark's equity was more than IDR139 billion. Moreover, the company will seek additional IDR10 billion equity by generating more profit.
“We still need additional equity at least IDR10 billion. We can get it by boosting our performance. We expect premium will grow 18%, as stated in 2012 Annual Budget Work Plan,” he said Wednesday.
To meet the growth target, Maipark must generate premium revenue of IDR165.2 billion this year.
Last year, the company booked premium income of IDR140 billion, increasing 15% from the earlier year. As premium grew, net profit could gain 16.66%-25% to IDR28 billion-IDR30 billion from IDR24 billion in 2010.
Better net income will be contributed from prudent investment management and good insurance protection.”
Investment
The company recorded an investment of IDR127 billion in 2011, rising 5% from the earlier year.
Slight increase in investment was the result of claim payment up to IDR96 billion.
“Claim payment reduced investable assets. Thus, the growth of investment was not high,” he explained.
He mentioned that more than 50% claims paid last year was extended from the catastrophic earthquake in Padang in 2009. Last year, the company also paid claim of IDR5 billion for earthquake in Bali.
As reported earlier, the insurance company is preparing to convert its business into reinsurance. The plan will be realized once it receives approval from next shareholders’ meeting in 2013.
